Public Policy Forum Toby Heaps

Why are green collar jobs so important? Because up to 51 million jobs will be lost in 2009 ILO, Jan ’09 Why are green collar jobs so important? Because up to 51 million jobs are going to be lost worldwide in 2009 according to the International Labour Organization. http://www.ilo.org/global/About_the_ILO/Media_and_public_information/Press_releases/lang--en/WCMS_101462/index.htm

On the brink

A crisis is a terrible thing to waste

“Going green is the largest economic opportunity of the 21st century.” John Doerr Venture Capitalist Kleiner Perkins http://www.ted.com/talks/john_doerr_sees_salvation_and_profit_in_greentech.html Worldwide, energy is a $6 trillion market – so the drive to use it more efficiently has incredible opportunity.

Factor 4 Solution Increase our resource productivity by fourfold in 20 years. -Nick Stern

$170 B for 13 years to 2020 IRR = 17% 30 year comparison: IRR stocks = 10% IRR real estate = 16% In fact $170 billion a year can be invested in energy efficiency projects in North America for 13 years with an Internal Rate of Return (IRR) of 17%. Just to put that into perspective, if you’re looking at the long term returns in the stock market the IRR is 10% and for real estate investing it’s 16%. So energy efficiency gives a better rate of return that the two things we’ve always been told generate long term proven returns. And when you do the math $170 billion for 13 years is more than $2 trillion. Again its important to note that this isn’t an environmental group telling us this it’s the pre-eminent management consulting firm worldwide. Download the full report at http://www.mckinsey.com/mgi/publications/Investing_Energy_Productivity/

The potential? Up to 40M US green jobs by 2030 ASES 2007 Report Up to 40 million green collar jobs by 2030 A 2007 report from the American Solar Energy Society (ASES) shows that as many as 1 out of 4 workers in the U.S. will be working in the renewable energy or energy efficiency industries by 2030. Green collar jobs already account for 8.5 million US jobs, and with appropriate public policy, could grow to as many as 40 million jobs by 2030. Renewable energy and energy efficiency are economic powerhouses. By the year 2030, the renewable energy and energy efficiency industries could generate up to $4.5 trillion in revenue in the U.S., but only with the appropriate public policy, including a renewable portfolio standard, renewable energy incentives, public education, and R&D The 40 million jobs that could be created in renewable energy and energy efficiency by 2030 are not just engineering-related, but also include millions of new jobs in manufacturing, construction, accounting, and management Renewable energy and energy efficiency industries today generate nearly $1 trillion in revenue in the U.S. contributing more than $150 billion in tax revenue at the federal, state, and local levels Revenue from the energy efficiency sector -- including from energy efficient windows, appliances, insulation, and recycling -- is currently larger than revenue from renewable energy, but the renewable energy industry is growing much more quickly Solar, wind, ethanol, and fuel cells are likely to be some of the hottest areas of growth Download the full report at http://www.ases.org/images/stories/ASES-JobsReport-Final.pdf

This report calls on the US government to invest $500B to create 5M high paying green jobs by 2018. Download the full 2008 report at http://apolloalliance.org/wp-content/uploads/2009/03/fullreportfinal.pdf

UK PM Gordon Brown, pictured at 10 Downing St, promises a new Green Deal and creating 400,000 green jobs. Photo from http://www.zimbio.com/pictures/x4SY3aV8qiT/Gordon+Brown+Meets+Palestinian+President+Mahmoud/PjPCNViS-gy For details of what the Prime Minister Gordon Brown’s plans see http://www.independent.co.uk/news/uk/politics/browns-electric-dream-for-britain-1665349.html

Transit creates over 25 jobs/M Oil and gas extraction creates the fewest jobs per dollar spent: only 3.5 jobs (“person-years” of employment) per million dollars spent. Transit creates over 25 jobs/M 6,500 to 14,000 retrofit jobs for less than $2b

While the US may have the largest stimulus package, it’s China that has the largest green stimulus at $221.3 billion – almost double the $112.3 billion of green stimulus spending by the US. By contrast Canada is spending roughly 1/100th of China’s green stimulus coming in at $2.6 billion. Source interactive graphic by the Financial Times of London at: http://www.ft.com/cms/s/0/cc207678-0738-11de-9294-000077b07658.html

Korea is spending a staggering 81% of its stimulus on green measures Korea is spending a staggering 81% of its stimulus on green measures. The government plans to create 950,000 green collar jobs by the end of 2012. The European Union is spending 59% of its stimulus package on Green measures – while China’s percentage is 38%. By contrast the US is only spending 12% and Canada only 8%.

Green Jobs are defined as positions in agriculture, manufacturing, R&D, administrative, and service activities aimed at alleviating the myriad environmental threats faced by humanity. Specifically, but not exclusively, this includes jobs that help to protect and restore ecosystems and biodiversity, reduce energy consumption, decarbonize the economy, and minimize or altogether avoid the generation of all forms of waste and pollution.